3. The following records were taken from the books of the Company and its branch on December 31, 2021: (see image below) Expenses incurred by 9. the HO is P382,000 and branch incurred P101,500. In 2021, home office billed the branch at 120% of cost which was lower by 5% than last year's. The Company applies FIFO inventory system What is the a.combined net income and b. balance of the Unrealized Gain account? * Home Office Books P 1,060,000 210,000 115,000 Branch Books P 315,000 Sales Shipments to branch Beginning inventory Purchases 44,500 820,000 Shipments from home office Ending inventory 252,000 58,500 142,500
3. The following records were taken from the books of the Company and its branch on December 31, 2021: (see image below) Expenses incurred by 9. the HO is P382,000 and branch incurred P101,500. In 2021, home office billed the branch at 120% of cost which was lower by 5% than last year's. The Company applies FIFO inventory system What is the a.combined net income and b. balance of the Unrealized Gain account? * Home Office Books P 1,060,000 210,000 115,000 Branch Books P 315,000 Sales Shipments to branch Beginning inventory Purchases 44,500 820,000 Shipments from home office Ending inventory 252,000 58,500 142,500
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter11: Work Sheet And Adjusting Entries
Section: Chapter Questions
Problem 7E: On December 31, Marchant Company took a physical count of its merchandise inventory. It operates...
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A. What is the combined net income?
B. What is the balance of the unrealized gain account?
Transcribed Image Text:3. The following records were taken from the books of the Company and
its branch on December 31, 2021: (see image below) Expenses incurred by
the HO is P382,000 and branch incurred P101,500. In 2021, home office
billed the branch at 120% of cost which was lower by 5% than last year's.
9.
The Company applies FIFO inventory system What is the a.combined net
income and b. balance of the Unrealized Gain account? *
Home Office Books
P 1,060,000
210,000
115,000
Branch Books
P 315,000
Sales
Shipments to branch
Beginning inventory
Purchases
Shipments from home office
Ending inventory
44,500
820,000
252,000
58,500
142,500
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